Cosmed Gets New Financing, Seeks Sale of Sterilization Business

Sterilization services provider Cosmed Group Inc. has secured new bankruptcy financing to continue operating as it attempts to sell a business that provides a critical service to medical device manufacturers.

Judge Christopher Lopez said Tuesday he’d approve Cosmed’s request to start tapping a $7.5 million Chapter 11 loan provided by one of its customers, Zimmer Inc., which manufactures implants and other medical devices.

The financing will give Cosmed time to explore a potential sale of its business, company lawyer Nancy Peterman said. After Cosmed sought court protection last month, the US Food and Drug Administration expressed concern about what ...